India is now home to 378,810 millionaires worth $1.5 trillion: Report

India witnessed a significant surge in its high-net-worth individual (HNWI) population and wealth in 2024, with an 8.8 per cent increase in HNWI wealth, reaching a total of $1.5 trillion. By the end of last year, the country was home to 378,810 millionaires, according to the latest 'World Wealth Report 2025' released by the Capgemini Research Institute on Wednesday.

The report further highlights the presence of a growing segment of "millionaires next door," with India counting 333,340 individuals in this category, holding a combined wealth of $628.93 billion.

At the pinnacle of wealth, India also saw 4,290 ultra-high-net-worth individuals (UHNWIs) by the close of 2024, collectively possessing $534.77 billion.

India's Next-Gen Millionaires

A key finding of the Capgemini report is the distinct preferences and intentions of India's next-generation HNWIs. A striking 85 per cent of these inheritors plan to switch from their parents' wealth management (WM) firms within one to two years, a figure higher than the global average of 81 per cent.

Reasons for this planned exodus include 51 per cent citing the unavailability of services on their preferred channels, and 41 per cent pointing to ineffective digital tools for conducting transactions.

Looking ahead to 2030, a substantial 98 per cent of next-gen HNWIs in India intend to increase their offshore assets by more than 10 per cent. This strong inclination towards international investments is driven by factors such as better investment options (55 per cent), superior wealth management services (65 per cent), enhanced market connectivity (54 per cent), and more favorable tax regulations coupled with economic and political stability (49 per cent).

Global wealth transfer and industry shift

Globally, the HNWI population increased by 2.6 per cent in 2024, propelled largely by a 6.2 per cent growth in UHNWIs. This rise is attributed to robust stock markets and optimism surrounding artificial intelligence, which boosted portfolio returns.

The report also notes that alternative investments, including private equity and cryptocurrencies, now constitute a significant 15 percent of HNWI portfolios.

Kartik Ramakrishnan, CEO of Capgemini's Financial Services Strategic Business Unit and Group Executive Board Member, underscored the transformative impact of the "great wealth transfer" on the industry.

"Despite global wealth on the rise, 81 per cent of inheritors plan to switch firms within one to two years of inheritance. Potentially losing these unsatisfied clients is going to create significant risk for the global wealth management sector," he stated.

Ramakrishnan emphasized the need for wealth management firms to adapt to the evolving expectations of the next generation of HNWIs.

"This necessitates an urgent shift away from traditional strategies to effectively cater to their evolving needs on this wealth journey," he added. He also advised firms to equip advisors with advanced digital capabilities, potentially augmented with agentic or generative AI, to mitigate the risk of losing both clients and key employees.